Apache on the Upswing

By

Gary Morrow

| Mar 28, 2013 | 1:47 PM EDT

Apache Corp. (APA) stock is building on Wednesday's upside reversal action. APA began with a gap lower open before finishing yesterday's session well above the previous day's high. The news-inspired rally pushed the oil & gas company's shares 2% higher on heavy trade. Today the stock is up another 2% to $76.46 on strong volume -- a move that has lifted it well into new high ground for this month.

In mid-February APA suffered a major two-day blow following a disappointing fourth quarter. The breakdown from the stock's 200-day moving average pushed it to fresh lows. The week-and-a-half selloff dropped APA 15%, taking out the 2012 lows of $74.50 in the process. This month the stock has done little, but patient bulls have been doing a bit of shopping while shares churned near last year's lows. The bullish action today will be APA's fourth above-average-volume session this month, while selling pressure has eased dramatically. I believe this indicates APA has become sold out and may be leaving behind a significant bottom....137 more words left in this article. To read them, just click below and try Real Money FREE for 14 days.

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